A study by Government Accountability Office (GAO) demonstrates the value policy holders perceive from Long Term Care Insurance.
The study examined the federal long-term care insurance program (FLTCIP), which has offered long-term care insurance to federal employees and retirees since 2002. With 268,204 enrollees as of June 2011, FLTCIP is the largest private long-term care insurance program in the nation.
While the study examined the government contract in depth, an important finding for all consumers is that a majority of policy holders value the benefits over reduction when offered the choice. Only 1.6% of Federal long term care insurance enrollees chose to discontinue their coverage in the face of premium increases.
The federal government has recently taken steps to increase the use of private insurance to pay for long-term care costs from current or retired federal employees.
This shows consumers understand the importance of LTC insurance and are willing to pay for the value of protecting their retirement and providing for long term care.
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